Strong demand, demerger hopes positive for Hindustan Zinc's stock

For FY25, the management expects mined metal production of 1,100-1,125 kt and refined metal production of 1,075-1,100 kt

The Q4FY24 and FY24 results of Hindustan Zinc, a leading producer of zinc, lead and silver, indicated that the cycle for non-ferrous metals may be close to bottoming out. While Q4FY24 revenue stood at Rs 7,500 crore (down 11 per cent year-on-year) there was sequential quarter-on-quarter (Q-o-Q) revenue growth of 4 per cent vs Q3FY24. The sequential growth was driven by better zinc volumes.

The operating profit stood at Rs 3,600 crore (down 14 per cent Y-o-Y and up 4 per cent Q-o-Q), and the operating profit margin was flat Q-o-Q at 48.3 per cent. Cost of production